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Level 1

My form 1098 has the outstanding mortgage principal but turbo tax is asking for the outstanding mortgage balance. What is the difference?

My form 1098 has the outstanding mortgage principal which I have entered where TurboTax asks for it but on the next page TurboTax asks for the outstanding mortgage balance. What is the difference?

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Level 8

My form 1098 has the outstanding mortgage principal but turbo tax is asking for the outstanding mortgage balance. What is the difference?

Box 2 on the 1098 has the beginning balance, the next page asks for the ending balance. 

Box 2 is the outstanding mortgage balance on Jan 1, the next page asks for the outstanding mortgage balance as of Dec 31. 

The program is checking for an increase in the loan which would signal a Home Equity Line Of Credit. HELOC are treated differently starting this year. If the additional loan is used on the home, it is deductible. If it is used for a second home, or anything else, it isn't. 

2 Replies
Level 8

My form 1098 has the outstanding mortgage principal but turbo tax is asking for the outstanding mortgage balance. What is the difference?

Box 2 on the 1098 has the beginning balance, the next page asks for the ending balance. 

Box 2 is the outstanding mortgage balance on Jan 1, the next page asks for the outstanding mortgage balance as of Dec 31. 

The program is checking for an increase in the loan which would signal a Home Equity Line Of Credit. HELOC are treated differently starting this year. If the additional loan is used on the home, it is deductible. If it is used for a second home, or anything else, it isn't. 

Level 1

My form 1098 has the outstanding mortgage principal but turbo tax is asking for the outstanding mortgage balance. What is the difference?

Our Box 2 figure is $5000.00 higher than the box 10 "ending principal balance" figure and we never took out a home equity loan.  Why would this be? Does it have to do with the fact that for a number of years  we had to pay Mortgage Insurance? We haven't in years, but I can't think of any other reason?